Facebook to buy minority stake in Jio Platforms for $5.7 billion

Facebook on Wednesday announced an investment of USD 5.7 billion (Rs 43,574 crore) for acquiring a minority stake in Jio Platforms Ltd as it looks to expand presence in its largest market in terms of subscriber base.

“Today, we are announcing a USD 5.7 billion, or Rs 43,574 crore, investment in Jio Platforms Limited, part of Reliance Industries Limited, making Facebook its largest minority shareholder,” the company said in a statement.

In a statement, Facebook co-founder Mark Zuckerberg said, “There’s a lot going on in the world right now, but I wanted to share an update on our work in India. Facebook is teaming up with Jio Platforms — we’re making a financial investment, and more than that, we’re committing to work together on some major projects that will open up commerce opportunities for people across India.”

“India is home to the largest communities on Facebook and WhatsApp, and a lot of talented entrepreneurs. The country is in the middle of a major digital transformation and organizations like Jio have played a big part in getting hundreds of millions of Indian people and small businesses online,” Mark Zuckerberg added.

The deal, Mark Zuckerberg said, was important at this time as the small businesses need the support.

“This is especially important right now, because small businesses are the core of every economy and they need our support. India has more than 60 million small businesses and millions of people rely on them for jobs. With communities around the world in lockdown, many of these entrepreneurs need digital tools they can rely on to find and communicate with customers and grow their businesses. This is something we can help with — and that’s why we’re partnering with Jio to help people and businesses in India create new opportunities,” Mark Zuckerberg said.